[Federal Register Volume 74, Number 180 (Friday, September 18, 2009)]
[Notices]
[Pages 47922-47923]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-22493]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-357-819]


Ni-Resist Piston Inserts from Argentina: Final Affirmative 
Countervailing Duty Determination

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) determines that 
countervailable subsidies are being provided to a producer and exporter 
of Ni-resist piston inserts from Argentina. For information on the 
estimated subsidy rate, see the ``Suspension of Liquidation'' section 
of this notice.

EFFECTIVE DATE: September 18, 2009.

FOR FURTHER INFORMATION CONTACT: Kristen Johnson, AD/CVD Operations, 
Office 3, Import Administration, International Trade Administration, 
U.S. Department of Commerce, Room 4014, 14th Street and Constitution 
Avenue, NW, Washington, DC 20230; telephone: (202) 482-4793.

SUPPLEMENTARY INFORMATION:

Background

    This investigation covers 22 programs. Clorindo Appo SRL (Clorindo) 
is the only producer/exporter of subject merchandise from Argentina 
under investigation. The petitioner is Korff Holdings, LLC d/b/a Quaker 
City Castings.

Period of Investigation

    The period of investigation (the POI) for which we are measuring 
subsidies is January 1, 2008, through December 31, 2008, which 
corresponds to Argentina's most recently completed fiscal year. See 19 
CFR 351.204(b)(2).

Case History

    The following events have occurred since the preliminary 
determination notice was published in the Federal Register on July 6, 
2009. See Ni-Resist Piston Inserts From Argentina: Preliminary 
Affirmative Countervailing Duty Determination, 74 FR 31914 (July 6, 
2009) (Preliminary Determination).
    From July 23 through July 29, 2009, we conducted verification of 
the questionnaire responses submitted by the Government of Argentina 
(GOA), including the provincial government of Santa Fe, and Clorindo. 
We issued the verification reports on August 13, 2009.\1\
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    \1\ The public version of the verification reports and all 
public documents for this investigation are on file in the Central 
Records Unit, room 1117 in the main building of the Commerce 
Department.
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    On August 25 and 27, 2009, we received a case brief from Clorindo 
and the GOA, respectively.\2\ On August 31, 2009, we received a 
rebuttal brief from Clorindo. On September 2, 2009, we received a case 
brief from the petitioner.\3\ On September 9, 2009, we received from 
the GOA a rebuttal brief to the petitioner's case brief. We did not 
hold a hearing in this investigation, as one was not requested.
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    \2\ The GOA submitted a case brief on August 25, 2009; however, 
the case brief was rejected because it contained untimely new 
factual information. See Letter to Roberto Salafia, Minister, 
Economic and Commercial Section, Embassy of Argentina from Melissa 
G. Skinner, Director, Operations Office 3, regarding Rejection of 
Case Brief with Untimely Filed Information (August 26, 2009), which 
stated that the GOA could resubmit the case brief by August 28, 2009 
provided the untimely information was removed.
    \3\ The petitioner submitted a case brief on August 20, 2009; 
however, the case brief was rejected because it contained an 
untimely new subsidy allegation and untimely new factual 
information. See Letter to Geoffrey Korff of the Korff Law Firm from 
Melissa G. Skinner, Director, Operations Office 3 (August 25, 2009), 
which stated that petitioner could resubmit the case brief, provided 
the untimely information was removed. On September 1, 2009, the 
Department granted to the petitioner an extension of time to 
resubmit the case brief. See Letter to Geoffrey Korff of the Korff 
Law Firm from Melissa G. Skinner, Director, Operations Office 3 
(September 1, 2009).
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Scope of Investigation

    The scope of this investigation includes all Ni-resist piston 
inserts regardless of size, thickness, weight, or outside diameter. Ni-
resist piston inserts may also be called other names including, but not 
limited to, ``Ring Carriers,'' or ``Alfin Inserts.'' Ni-resist piston 
inserts are alloyed cast iron rings, with or without a sheet metal 
cooling channel pressed and welded into the interior of the insert. Ni-
resist piston inserts are composed of the material known as Ni-resist, 
of the chemical composition: 13.5% - 17.5% Ni (nickel), 5.5% - 8.0% Cu 
(copper), 0.8% - 2.5% Cr (chromium), 0.5% - 1.5% Mn (manganese), 1.0% - 
3.0% Si (silicon), 2.4% - 3.0% C (carbon). The cast iron composition is 
produced primarily to the material specifications of the American 
Society for Testing and Materials (ASTM), ASTM A-436 grade 1.
    The scope of this investigation does not include piston rings nor 
any other product manufactured using the Ni-resist material. The 
subject imports are properly classified under subheading 8409.99.91.90 
of the Harmonized Tariff Schedule of the United States (HTSUS), but 
have been imported under HTSUS 7326.90. The HTSUS subheadings are 
provided for convenience and customs purposes. The written description 
is dispositive of the scope of this investigation.

Injury Test

    Because Argentina is a ``Subsidies Agreement Country'' within the 
meaning of section 701(b) of the Act, the International Trade 
Commission (the ITC) is required to determine whether imports of the 
subject merchandise from Argentina materially injure, or threaten 
material injury to, a U.S. industry. On March 25, 2009, the ITC 
published its preliminary determination finding that there is a 
reasonable indication that an industry in the United States is

[[Page 47923]]

materially injured by reason of imports from Argentina of the subject 
merchandise. See Ni-Resist Piston Inserts from Argentina and Korea; 
Determinations, Investigation Nos. 701-TA-460-461 (Preliminary), 74 FR 
12898 (March 25, 2009).

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this investigation are addressed in the Decision Memorandum dated 
concurrently with, and which is hereby adopted by this notice. Attached 
to this notice as an Appendix is a list of the issues that parties 
raised and to which we have responded in the Decision Memorandum. 
Parties can find a complete discussion of all issues raised in this 
investigation and the corresponding recommendations in this public 
memorandum, which is on file in the Department's Central Records Unit. 
In addition, a complete version of the Decision Memorandum can be 
accessed directly on the Internet at http://ia.ita.doc.gov/frn/. The 
paper copy and electronic version of the Decision Memorandum are 
identical in content.

Suspension of Liquidation

    In accordance with section 705(c)(1)(B)(i)(I) of the Tariff Act of 
1930, as amended (the Act), we have calculated an individual rate for 
Clorindo, the only company under investigation. We determine that the 
total estimated net countervailable subsidy rate is 6.81 percent ad 
valorem. The All Others rate is 6.81 percent ad valorem, which is the 
rate calculated for Clorindo.
    As a result of the Preliminary Determination and pursuant to 
section 703(d) of the Act, we instructed the U.S. Customs and Border 
Protection to suspend liquidation of all entries of Ni-resist piston 
inserts from Argentina which were entered or withdrawn from warehouse, 
for consumption on or after July 6, 2009, the date of the publication 
of the Preliminary Determination in the Federal Register.
    We will issue a countervailing duty order under section 706(a) of 
the Act if the ITC issues a final affirmative injury determination, and 
will require a cash deposit of estimated countervailing duties for such 
entries of merchandise in the amounts indicated above. If the ITC 
determines that material injury, or threat of material injury, does not 
exist, this proceeding will be terminated and all estimated duties 
deposited or securities posted as a result of the suspension of 
liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, we will notify the 
ITC of our determination. In addition, we are making available to the 
ITC all non-privileged and non-proprietary information related to this 
investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an administrative protective order (APO), without the written 
consent of the Assistant Secretary for Import Administration.

Return or Destruction of Proprietary Information

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to an APO of their responsibility concerning the destruction of 
proprietary information disclosed under APO in accordance with 19 CFR 
351.305(a)(3). Timely written notification of the return/destruction of 
APO materials or conversion to judicial protective order is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.
    This determination is published pursuant to sections 705(d) and 
777(i) of the Act.

    Dated: September 14, 2009.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.

Appendix Issues and Decision Memorandum

List of Comments and Issues in the Decision Memorandum

Comment 1: Tax Relief under the Reintegro
Comment 2:Stamp Tax Exemption
Comment 4:Procedural Guarantees Provided in the WTO SCM Agreement
Comment 5:More Expansive POI
[FR Doc. E9-22493 Filed 9-17-09; 8:45 am]
BILLING CODE 3510-DS-S